FACT: Statistics show that nearly 70% of life insurance policies can be improved!

Success Stories

Case History 1  |   Case History 2  |   Case History 3  |   Case History 4

Insured: 59 year old male with cancer history

Current policy facts:

  • 2 universal life insurance policies with total death benefit of $1,000,000
  • Current cash values of ~$80,000
  • Paying target premiums of ~$6100/year
  • Issued at preferred NT in the 1990s

Client perception:

  • Pay premiums timely and policies will remain in force for life
  • Future cash values may be withdrawn for any purpose

Facts revealed by check up:

  • Policy #1 is scheduled to lapse at age 75 with $0 cash value
  • Policy #2 scheduled to lapse at age 79 $0 cash value
  • Life insurance protection expected will then expire

Options & Resolution:

  • Increase premiums on current policies to $16,000/year (still not guaranteed to remain in force to age 100)

Or

  • Move the current cash value (tax free) from the old policies to a new one (known as a 1035 exchange) and have a new $1,000,000 policy is issued with an annual premium of $8,950/year
  • Policy death benefit and premiums are now guaranteed to age 120

Or

  • Move the current cash value (tax free) from the old policy to a new one (known as a 1035 exchange) and reduce coverage to $750,000 and continue paying ~$6000/year